The venture arm of National Australia Bank, NAB Ventures, has recently made an investment in Zodia Custody, a cryptocurrency and digital assets safekeeping platform that is also supported by Standard Chartered, Northern Trust, and SBI Holdings. This investment signifies Zodia’s expansion into Australia, where the custody firm began operations in late 2023.
The exact amount of the investment was not disclosed, but NAB Ventures’ decision to invest in Zodia was based on several factors, including the company’s innovative approach, institution-grade safety, and strong collaboration with regulators. This move highlights the increasing interest of banks and financial institutions in cryptocurrency custody, as they explore various use cases such as trading and tokenization.
Following the investment, Zodia’s immediate focus includes onboarding Australia’s home-grown digital asset exchanges onto their platform. Many of these exchanges are transferring assets to Zodia Custody in preparation for anticipated regulatory changes in 2025. Additionally, Zodia aims to position itself as the preferred custodian for applicants seeking approval for digital asset ETFs from the ASX.
The partnership between NAB Ventures and Zodia Custody reflects a growing trend in the financial industry towards embracing cryptocurrency and digital assets. As the industry evolves, more institutions are recognizing the potential of blockchain technology and the need for secure custody solutions.
It is important to note that CoinDesk, the source of this information, is a reputable media outlet that covers the cryptocurrency industry. Their journalists adhere to strict editorial policies to ensure accuracy and integrity in their reporting. In 2023, CoinDesk was acquired by the Bullish group, which owns a regulated digital assets exchange. This acquisition has not compromised CoinDesk’s editorial independence, as they operate as an independent subsidiary with an editorial committee.
Overall, the investment by NAB Ventures in Zodia Custody demonstrates the growing mainstream acceptance of cryptocurrency and the importance of secure custody solutions in the digital asset space. This partnership is a significant step towards bridging the gap between traditional financial institutions and the emerging world of blockchain technology.